Huddle House announced today that Allied Capital has committed $124 million to complete the acquisition of Huddle House, Inc., offering a solid financial partner to better position the chain for future growth.

Huddle House operates more than 420 restaurants in 17 states. Most recently, the company has successfully expanded outside of its southeast core into the Mid-Atlantic and Midwest regions, opening 123 new stores in the last four years in various states including Virginia, West Virginia, Ohio, Illinois, Missouri, and Texas. Systemwide sales last year were $215 million.

“Allied Capital’s investment in Huddle House is reflective of the company’s strong and stable franchise base, attractive free cash flow characteristics and proven management team,” said Mike Grisius, Managing Director of Allied Capital. Frank Izzo, Principal of Allied Capital, added “we look forward to partnering with the management of Huddle House as they position the company for its next phase of growth.”